The Egyptian government has delayed the introduction of new minimum prices for hotels by six months. It was previously planned that the measure should come into force on May 1.
The Cabinet of Ministers supported such an initiative of the Ministry of Tourism due to a decrease in the incoming flow, including Russian tourists. Thus, tariffs will remain at least until November 1.
Previously, it was assumed that price regulation would apply to the accommodation of objects of categories with one, two and three stars (previously, these rules applied only to places of residence with a higher category – Note Ed.). It was proposed to increase the minimum prices for accommodation in five-star hotels by 25 percent, and in hotels “four stars” prices were to increase by 42 percent.
That is, according to the new rules, which are postponed until November, 5 * hotels do not have the right to sell accommodation in them below $ 50 per day per person, 4 * hotels – below $ 40, 3 * hotels – below $ 30, hotels 2 * – below $20, 1* hotels – below $10.
At the legislative level, Egypt controls hotel pricing from November 1, 2021. Since then, the minimum charge for accommodation services per person per night in five-star hotels is $40 and $28 in four-star hotels.
The Egyptian authorities explain the establishment of minimum prices in hotels by the need to improve the quality of services for tourists. Now the country is undergoing procedures for re-evaluating hotels in accordance with the new classification standards “Hospitality Criteria”, which were developed jointly with the World Tourism Organization. Their main task is to “bring” the classification of Egyptian hotels to the level of international analogues.